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What the Fed's New Long-Run Inflation Outlook Means for Your Portfolio

What the Fed's New Long-Run Inflation Outlook Means for Your Portfolio

The Federal Reserve recently updated its view on monetary policy, and the changes will have broader implications for the economy as well as your investment portfolio. Here is a quick explanation of what the Fed has changed and what that change means for investors. Historically, the Fed has used the Fed Funds rate (the rate at which banks generally lend to each other) as a way to set short-term interest rates.